Armstrong Economics Blog/Germany
Re-Posted Feb 24, 2018 by Martin Armstrong
What is happening in Germany is very critical because it is a reflection of the global trend. Schultz is under attack because the SPD has fallen to such a state that it is barely above the AfD. Party members are deeply concerned as I wrote that Schultz wanted a coalition for personal power. Yet there was another issue at stake. There was also a growing fear that the SPD would lose even more seats in a new election.
Merkel, many remark will have to be dragged out of office by her hair. She wants to remain Chancellor until 2021. Because of that personal desire, she too wants a coalition deal. Therefore, both Schultz and Merkel are seen as a deal for personal political status.
Meanwhile, there is a rising trend of right-wing groups in Germany that the refugee crisis has inspired. Politicians have for far too long regarded the people as fools who will accept whatever the politicians tell them. Those days are passing.
Trade Union Confederation (DGB), labor unions are turning much more right-wing. The AfD and other right-extremist groups are preparing to win votes and mandates with trade unions such as IG metal and Verdi von März. They see this trend as never having so good prospects at the polls.
Politics is shifting in Germany and we have the refugee crisis and EU policies to thank. Many members of the SPD party are warning that if they fail to agree to the coalition, a new round of elections will see their party be greatly reduced.